Uninsured/Underinsured Motorist Coverage: Your Financial Safety Net

What is UM/UIM Coverage?

Uninsured Motorist (UM) and Underinsured Motorist (UIM) coverage protects you when someone else causes an accident but:

• Has no insurance (UM)
• Doesn’t have enough insurance to cover your damages (UIM)

Key Benefit: Covers what the at-fault driver’s insurance should have paid.

Why This Coverage Matters

• 1 in 8 drivers are uninsured (varies by state)
• Average accident costs often exceed minimum liability limits
• Medical bills from serious crashes can reach $100,000+
• Hit-and-run accidents qualify under UM in most states

What UM/UIM Covers

Bodily Injury (UMBI/UIMBI)

• Medical expenses for you & passengers
• Lost wages
• Pain and suffering
• Funeral costs

Property Damage (UMPD)

• Vehicle repairs (available in some states)
• Deductible reimbursement

Note: Coverage varies by state. Some states combine UM/UIM, others separate them.

Real-World Scenarios

🚗 Uninsured Driver Hits You
Their insurance: None
Your UM coverage pays your $25,000 medical bills

🚙 Underinsured Driver Causes Crash
Their limits: $30,000(yourinjuriescost$75,000)
Their insurance pays $30,000\to YourUIMcoversremaining$45,000

🚲 Hit-and-Run Cyclist Injury
Your UM coverage treats this like an uninsured driver claim

How Much Coverage Do You Need?

Recommended Limits

Match your liability limits for balanced protection
Example: If you carry 100/300 liability, get 100/300 UM/UIM

Pro Tip: Even when optional, this coverage costs little compared to its protection value.

Cost Factors

• State regulations
• Coverage limits chosen
• Driving area (urban vs. rural)
• Number of vehicles on policy
• Your deductible selection

Average Cost: $50-$150 per year for good coverage

Claims Process

1. File police report immediately
2. Document everything: Photos, witness info, medical records
3. Notify your insurer promptly
4. Cooperate with investigation
5. Receive payment after claim approval

Common Misconceptions

✖ “My health insurance will cover everything”
✖ “UM/UIM is too expensive” (typically <5% of premium)
✖ “I don’t need it if I have PIP” (PIP has limits)

Get Protected Today

Don’t risk financial ruin because someone else didn’t buy proper insurance.

✅ Instant Quotes from top carriers
✅ Expert Advice on proper limits
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